A10 Networks backs prior FY23 double-digit growth view for EPS

A10 Networks reiterated guidance for full-year earnings. "The expected headwinds we discussed on our Q4 2022 earnings call on February 7th impacted our results in the first quarter," commented Dhrupad Trivedi, President and Chief Executive Officer of A10 Networks. "Additionally, approximately $4.8M in orders were shifted to future periods as we prioritized security in response to the cyber incident that occurred during Q1 2023. Like others, we also experienced delays related to North American customers going through their own restructuring. These issues were taken into account in our full-year outlook and we expect Q1 to be the bottom for the year." Trivedi continued, "Given the first quarter results, we have taken actions to flex our cost structure to better enable us to achieve our full-year earnings targets without compromising our long-term growth plans. Our Q1 Adjusted EBITDA margin expanded on year-over-year basis in spite of macro-driven top line challenges demonstrating the business model focus. We remain confident that we can deliver revenue growth that outpaces our peer set, and we expect double-digit growth in our full-year non-GAAP EPS." Consensus for FY23 EPS 82c.